Is technical analysis bullshit?

[Anonymous No.29147349]

Have these indicators and candle stick pattern interpretation ever been shown to increase trading accuracy and profits? Or is just voodoo tier horse shit?

[Anonymous No.29147801]

>>29147349
Complete retard here

IMO TA is useful for clear indicators like resistance and suport levels or under and oversold levels.

All the other million patterns seem like voodo bullshit most of the time for what ive seen

[Anonymous No.29147914]

>>29147349
no, but meme lines and asociating charts with shapes - 'cup and handle', 'head and shoulders' are not TA and totally bullshit

[Anonymous No.29147953]

>>29147801
>IMO TA is useful for clear indicators like resistance and suport levels or under and oversold levels.
>All the other million patterns seem like voodo bullshit most of the time for what ive seen
Just makes me wonder if things like Market Cipher are actually useful

[Anonymous No.29148009]

>>29147349
everyone believes TA means something and because of that it works. so no, it's not bullshit.

[Anonymous No.29148092]

>>29147349
ta patterns can be useful, since they're just statistically likely to work that way. it's all just statistics and probability and also the fact that people are analyzing the same chart and coming to similar conclusions.

[Anonymous No.29148134]

>>29147953
>Market Cipher
>open website
>testimonials from discord
no thanks...

[Anonymous No.29148198]

>>29147349
Any trading strategy that people believe works, does not work, no exceptions. Trading is about having competitive advantages so if you are analyzing the same data in the same way as everyone else, you have 0 competitive advantage and are essentially gambling.

[Anonymous No.29148252]

>>29147349
Let's do an experiment. I'll post an old chart and you tell me if it will go up or down

[Anonymous No.29148425]

>>29148252
Using hindsight to validate trading ideas is retarded.

[Anonymous No.29148452]

>>29148252
Support at previous ATH and then go up, again.

I can tell this is crypto because you left the 3 lines on...

[Anonymous No.29148476]

>>29147349
TA only works when everyone believes the same thing
Wycoff distribution is valid most of the time
Chart patterns are hit or miss BUT are most consistent in stocks, not so much crypto.
I find natural laws concerning behavior and mathematics are the most consistent for example:
>Mean reversion
Also ties into over extension of (high TF) moving averages
>Fibonacci ratios

But yes in general I find rolling with a naked chart is best. You can find support and resistance thru candles alone and 9/10 times that's all you need to know but it's good to recognize other things like I stated above.

[Anonymous No.29148548]

>>29147349
Yes, the ones doing it right just don't share it.

[Anonymous No.29148590]

>>29148452
Not bad, now what?

[Anonymous No.29148601]

>>29148252
TA doesn't say if it will go up or down, it tells you what to expect if things go one way or another. All these pseudo sciences are built on the fact that you can't predict if up or down.

[Anonymous No.29148669]

>>29148452
>>29148252
The logic I used is that the original trend was strong and you can extend that as the "support". When you see it dip or spike, that's volatility and people testing if a new paradigm exists. Unfortunately it's hitting heavy resistance at the old ATH spike %, not the actual $ value but the % that the ATH spiked the last time from the general trend.


Candles are bullshit

[Anonymous No.29148687]

>>29148009
This guy gets it. All you're looking at when you're looking at charts is what people think about the asset. If people think TA works, it works.

[Anonymous No.29148692]

>>29148476
I should add to this that you should be basing a lot of your decisions off of volume
High volume will confirm a lot of things like a breakout or a capitulation or even a top.

[Anonymous No.29148750]

TA fags are delusional retards

[Anonymous No.29148757]

>>29147349
All kinds of technical analysis can be backtested. You can literally download 10-20-50-100 years of any data, scroll your chart all the way back, define your entry/exit rules and literally measure that shit. You can even write an automated strategy to automate the whole process. With TA you can literally know your exact chances of success, and you may work on improving your analysis in real time.

With fundamental approach you cannot measure a shit.

Fundamental factors - is what moves the price in a very long-term perspective (months and mostly years).

Technical factors - is what moves the price in a short-term perspective (days, weeks and rarely months).

[Anonymous No.29148883]

>>29148590
>>29148452
Most interesting posts Ive seen in biz today

[Anonymous No.29149056]

I looked at Relative Strneght Index today when looking at the BNB chart, but it doesn't seem to be applying too well.

[Anonymous No.29149362]

>>29148883
Thanks fren.

>>29148590
I'm not so confident in anything exciting happening at this point immediately. It's very strongly just kept up with the long term trend.
However it's starting to go parabolic which may indicate another spike to test the peak in half your chart length. Or, it could test the lower support in 1/10 your chart length. As another anon said, TA just gives you support levels to know when a reversal may occur / if a security's momentum is exhausted in a given direction. It doesn't necessarily tell you up or down. You're also missing economic indicators and sentiment of the market with TA

[Anonymous No.29149616]

>>29147801
Fib retracement is definitely working. It seems like most people rely on it, just because. If you set a fib retracement from the 2017 pre-pump up to the 2018 top, it ended up being pretty reliable for when we tested the new ATH back in December.
I'm not sure what to rely on right now, since we're at an ATH again.

[Anonymous No.29149657]

>>29149362
T. it helps you manage risk
If you made 10x on a coin, and it's nearing a resistance level before going to 11x, you might as well get out of it at 10x, give up the potential 10-20% going through the resistance, and wait until it's up 12x to buy back in. And if you're out of it and it does go back down, well you made a correct move of caution by securing your 10x gains to buy back in lower.

[Anonymous No.29149917]

>>29149362
Well done. It went sideways for a while and then started pumping. You will unironically make it if you haven't already.

[Anonymous No.29150040]

Would anyone be able to explain other than "it's fucked today" why the BNB chart doesn't seem to fit any models?
Is this just an outlier?

[Anonymous No.29150091]

>>29147349
astrology for males.

[Anonymous No.29150165]

>>29149362
Feeling like I am asking for some /div/ here lol see any pattern or just a crabb, its stocks, gave you months and volume

[Anonymous No.29150279]

>>29150165
I see you lost money in September kek

[Anonymous No.29150370]

>>29149917
I can't into crypto rn because amerimutt. I want my coins to be anonymous. Mining currently. Only at $250USD worth of crypto.

[Anonymous No.29150616]

>>29149917
Actually the testing of the support happened, and the support held. I didn't predict the outcome, but what I said would have been a proper risk mgmt to HODL and buy that dip.

[Anonymous No.29150668]

>>29147349
yes and no

[Anonymous No.29150839]

>>29148757
I see people talking about doing back testing, but have no idea how to go about it or which software to use. Is it something you can create a python script for?

Also, I am curious about where this data can be found to backrest. I've looked around and found a lot of "I've back tested this" type of thing, but not the data source nor what programming language or scripting used. I feel like a brainlet when it comes to wrapping my head around how to back test.

[Anonymous No.29151080]

>>29150616
Forgot pic rel

[Anonymous No.29151771]

>>29147349
no, you just need more parameters.
Current bull is an artificial inflation through reborrowing cycles. Crypto will see a 2008/9 like crash. Buy crypto cds on exchanges and certain stable coin. Unironically not theter

[Anonymous No.29151813]

>>29147349
Statistics shows that the best patterns like head and shoulders gives you around 60% winrate, but only at longer timeframes i.e. it could just be due to organic growth of the market

[Anonymous No.29151853]

>>29151771
>Crypto will see a 2008/9 like crash

Based fellow oldfag, do you remember when it crashed from $0.12?

[Anonymous No.29151970]

>>29148601
Agreed. TA isn't great at telling you it's going to go up or down but rather if it breaks a support or resistance how far will it go from there.
>>29148590
Something like this all you have to go by is the primary trend line which looks like it will continue. A candlestick chart would be better for determining a trend reversal. I would at least expect a retest of that high. If it breaks past that ath and holds then I expect the trend to continue. If it starts bouncing off a resistance at ath and can't break through then you're either going to be going sideways for a while or the bottom could fall out. You just have to watch it daily and look for signs. Multiple days with spinning tops and dojis and shooting stars and then a bearish engulfing candle on big volume would be clear as day to gtfo but you don't always get all the warnings.

[Anonymous No.29152261]

>>29151853
when I first heard about it. Thought was a scam, bought in from lower 10s to 50s

[Anonymous No.29152307]

>>29150668
Kek this is the most accurate answer here.

Some TA is correct if the volume trading also matches. You can’t just look at squiggly lines. You gotta see how things are moving.

[Anonymous No.29153736]

>>29149362
How do I acquire your level of insight?

[Anonymous No.29154389]

BNB will hit 325 within 28 minutes.

[Anonymous No.29155463]

>>29154389
Dang this TA stuff works

[Anonymous No.29155724]

>>29149362
how did you learn TA?

[Anonymous No.29157117]

>>29148669
>Candles are bullshit
elaborate pls

[Anonymous No.29157336]

There's a book called "Evidence-Based Technical Analysis". Upon reading it, you discover that most published "technical analysis" of stock/securities prices is NOT evidence-based. Only a few of the widely promoted technical "principles" have a known basis in fact confirmed by data.

When Norman Fosback tested lots of supposed patterns, the most reliable and lucrative were some of the least interesting. (Little Monday/Friday patterns etc.)

[Anonymous No.29157615]

>>29155724
Just look at charts for years and don't overthink it. When you find yourself hoping for the line to move, you went too far

[Anonymous No.29157694]

>>29157117
Candle patterns, sorry. Candles themselves are easier to look at than a line. I wasn't being 100% clear

[Anonymous No.29158974]

>>29147349
the redpill is: TA works, but you must not be a brainlet

[Anonymous No.29159156]

>>29157694
Ah, I see. Thanks.

[Anonymous No.29160005]

>>29147349
For most assets, yes, it's astrology for stocks. I would rarely make a decision to buy stocks, commodities or real estate based on TA.
It does have some legitimacy in crypto since this shit is completely psychological and there are no fundamentals. That said, more legit projects will survive better than shit ones, simply because the devs stick around.

[Anonymous No.29160480]

I feel like TA is only useful when there is low sector volatility because all it takes is a volatile day for that entire sector and the prices for the individual components that make up that sector just get tossed around by the entire market's movements, breaking any TA rules they just set up.

[Anonymous No.29160612]

>>29158974
lmao of course this is how you set it up as a TA cultist. You're never to blame when it doesn't work and can just say "lel you just did it wrong".